How To Find Less Expensive Investment Properties
Property investment is very expensive and time consuming. Finding a right property with a fair price can be a tough process. Having expensive investment properties does not necessarily translate to increased profits. You can also get cheap investment properties that can help you maximize profit. To be able to have maximum income you need time, money, compromise and a plan. The goal of investment is to make the most profit with the least costs. With this in mind, let us look at ways to find cheap investment properties.
#1. Find desperate sellers
Desperate seller can go through great lengths to sell their properties because they want to move on to make more investments. You can tell if a seller is desperate when they have more than one mortgage to pay off, they want to downsize or other reasons. Sellers in this situation can sell their properties at a really reasonable price.
#2. Sellers with two properties
A seller with two properties while living in only one of them shows that the owner has more than one mortgage to pay off. This also makes it difficult for them to afford maintaining two properties. Such individuals are more like to sell their property at a lesser price to reduce thier mortgage bills.
#3. Long stay on the market properties
Properties that have been on the market for a certain period of time are very hard to sell because most buyers view it as a red flag. A house that has not been sold for long might be seen as having so sort of problem. But this is not the case for every property. Some properties stay on the market for long because they owner has poor marketing skills, an inexperienced or incompetent relator has been hired, etc. Sellers with such properties though may be willing to sell their property at a cheaper price or below market rates.
These are homes that get ignored by buyers for different reasons but it does not mean that there is something wrong with the house. A vacant house can become a big liability for the owner because it has to be maintained all the while it remains unoccupied. Sellers will definitely make a low offer to get there property going.
When trying to get a cheap investment property, you should have a thick skin to be able to accommodate all the emotions that are likely to come your way during the process. When bargaining for price, start at a lower price because you do not know how low a seller will be willing to settle. The old saying ‘you wont know unless you ask” holds very true when it comes to real estate investment.